India’s largest oil firm IOC has said that country’s new Hydrogen Policy will bring down the cost of the gas by 40-50%. According to SSV Ramakumar, Director for Research and Development at Indian Oil Corporation (IOC), they are planning to replace “grey hydrogen” with “green hydrogen” by using electricity from renewable energy sources, such as solar or wind power.
Ramakumar said that the cost of renewable electricity at ₹2 per kWh (or per unit) is actually the price at the generation site (say solar farm in Rajasthan or Ladakh). This becomes ₹4 to 7 per unit after adding different levies during its transit through transmission lines in different states. At a factory-gate cost of ₹4 to 7 per unit, green hydrogen production costs come to ₹500 per kg. This cost compares with the current grey hydrogen cost of ₹150 per kg, he…